How Good Is the Singapore Ride-hailing Market for New Taxi Startups?

Singapore has always been ranked as one of the world’s richest countries that has the most efficient transportation system. Singapore-based taxi operators were the pioneers of employing technology in the taxi booking system like GPS fleet tracking and automated call booking systems. The taxi operators are governed by the Land Transport Authority (LTA) that compels them to provide quality service by setting taxi standards and imposing several regulations. The booming ride-hailing concept and greater potentiality of the transportation industry attract many investors to invest or start up a taxi business in Singapore. If you want to take up a taxi business there, you must comply with taxi regulations imposed by the LTA.

Taxi Regulations

Only citizens can get the LTA taxi driver license in Singapore that should be renewed every 3 years. So, non-natives cannot get the license. Besides, the taxi driver must also satisfy other criteria such as: the driver should be at least 30 years old; complete a special course for taxi drivers; speak English; have a valid 3/3A class driving license for at least one year; and pass a medical exam.

However, anyone can take up the taxi business as an investor or aggregator but should register the taxi company with the Singapore Accounting and Corporate Regulatory Authority. Such investors/aggregators will be facilitated with incentives if they hire drivers from the local workforce. If you satisfy all the above criteria, you can be successful and make sumptuous revenue.

Even the big players are facing fluctuations in the growth curve. Obviously, it would be a tougher landscape for the startups to explore the ride-hailing industry there. However, newbies can also grow profitable. Singapore tourism attracts millions of tourists every year. Being the major industry and contributor to the economy of the country, the growth of tourism paves way for the development of the on-demand car rental business. Therefore, the online taxi industry has a greater scope for newbies to acquire more profit.

Technology Adherence

Technology is the base of a ride-hailing company in the current scenario. While abiding by laws, you have to adhere to a taxi management software that complies with all taxi regulations of Singapore and satisfies the needs and expectations of the natives. So, get a custom software that can support you to run a ride-hailing business successfully.

Consider all the above information before starting a taxi company in the Singapore ride-hailing economy. Once you are ready with all the requirements, go ahead. If possible, get a tech consultant support to get clarified with the procedures and other incentives available for new taxi companies.